BUDGET PREPARATIONS

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RAIJOHN (Querist)
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16 December 2010 What are the factors to considered while preparing a budget for a manufacturing company.is there any web sites which gives more valuable information for preparing the aforesaid things.

Raijohn

CS ,CMA Shambhu Kr. jha

CS ,CMA Shambhu Kr. jha (Expert)
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16 December 2010
Mr Raijohn
there are different website and it service provider that can meet your requirement, but budget depends upon the company to company and nature of the business ,so there are certain points if you consider that i think your budget will be more accurate .
1. within what time you received payment from your debtors (in case of credit sales)
2. what are the proportion of cash sales and credit sales
3.within what time expanses is need to made
4.proportion of cash expanses and credit expanses
5.requirement for investing in the fixed asset
6.risk involved in the the business.
7.nature of unforeseen loss
8.other laibility say tax and other statutory liability .

Think it will provide your better to prepare your budget correctly
Thanks

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